The veteran UK banking industry figure Sir Win Bischoff is being lined up as the next chairman of Lloyds Banking Group, media reports said, citing people familiar with the matter.

The former chairman of Citigroup, who stepped down from the role in February, has been asked to take the Lloyds job and guide it through the process of integrating the debt-laden banking and investment group HBOS, which it bought last autumn.

Lloyds operates its own private banking group; HBOS contains the large UK investment firm, Insight, and HBOS is also a majority owner of the wealth advisory firm, St James’s Place.

If he takes up the post, Sir Win would replace Victor Blank, who stepped down as chairman amid fierce criticism of his role in allowing the purchase of HBOS to go through, as HBOS is saddled with heavy debts and its problems have been blamed for dragging down Lloyds’ share price.

Lloyds Banking Group has received taxpayers’ money to shore up its balance sheet, as has Royal Bank of Scotland, the parent of Coutts, the UK private bank.